Apple Denied Permission to Appeal UK App Store Ruling, Faces Over £1bn Liability
Competition tribunal bars Apple’s appeal bid in landmark case over App Store commissions, yet company may still approach higher court
Apple has been refused permission by the United Kingdom’s Competition Appeal Tribunal (CAT) to appeal a ruling against it in a lawsuit that found the technology giant abused its dominant position by imposing excessive commissions on app developers.
The decision leaves Apple facing potential liabilities of more than £1 billion.
In the original October ruling, the CAT concluded that Apple held a “near-absolute” monopoly over the distribution of apps and in-app payments on its iPhone and iPad platforms between October 2015 and December 2020. The tribunal found that the 30 per cent standard commission charged by Apple in many cases exceeded a fair benchmark of about 17.5 per cent and that “pass-on” of the overcharge to consumers accounted for roughly half of the excess cost.
During the November hearing, the tribunal evaluated Apple’s request for permission to appeal its liability finding and declined to grant the request.
Although the company retains the option to apply directly to the Court of Appeal, the refusal signals the CAT’s view that Apple’s arguments do not present a reasonable prospect of success.
The case was brought by British academic Rachael Kent on behalf of more than 1,500 UK app developers and millions of users who purchased apps or in-app content.
Kent’s legal team estimates damages for the period in question at around £1.2 billion, plus interest.
Apple said the ruling “takes a flawed view of the thriving and competitive app economy” and reiterated its intention to appeal.
A separate hearing is scheduled to determine the methodology for calculating the final amount of damages, with key issues including the quantum of consumer overcharge and the scale of developer impact.
Legal observers note that this is the first major UK class-style lawsuit against a tech giant under the collective claims regime and could set significant precedent for platform economics and digital competition law.
Apple’s next steps include potentially seeking leave to appeal to the UK Court of Appeal and negotiating the detailed terms of any liability.
For now, the company must also prepare for how the ruling may shape its App Store practices in the UK, and potentially influence regulatory action elsewhere as scrutiny of large digital platforms intensifies globally.
The decision leaves Apple facing potential liabilities of more than £1 billion.
In the original October ruling, the CAT concluded that Apple held a “near-absolute” monopoly over the distribution of apps and in-app payments on its iPhone and iPad platforms between October 2015 and December 2020. The tribunal found that the 30 per cent standard commission charged by Apple in many cases exceeded a fair benchmark of about 17.5 per cent and that “pass-on” of the overcharge to consumers accounted for roughly half of the excess cost.
During the November hearing, the tribunal evaluated Apple’s request for permission to appeal its liability finding and declined to grant the request.
Although the company retains the option to apply directly to the Court of Appeal, the refusal signals the CAT’s view that Apple’s arguments do not present a reasonable prospect of success.
The case was brought by British academic Rachael Kent on behalf of more than 1,500 UK app developers and millions of users who purchased apps or in-app content.
Kent’s legal team estimates damages for the period in question at around £1.2 billion, plus interest.
Apple said the ruling “takes a flawed view of the thriving and competitive app economy” and reiterated its intention to appeal.
A separate hearing is scheduled to determine the methodology for calculating the final amount of damages, with key issues including the quantum of consumer overcharge and the scale of developer impact.
Legal observers note that this is the first major UK class-style lawsuit against a tech giant under the collective claims regime and could set significant precedent for platform economics and digital competition law.
Apple’s next steps include potentially seeking leave to appeal to the UK Court of Appeal and negotiating the detailed terms of any liability.
For now, the company must also prepare for how the ruling may shape its App Store practices in the UK, and potentially influence regulatory action elsewhere as scrutiny of large digital platforms intensifies globally.
